The long-dormant NFT sector is showing unexpected signs of revival.
According to CoinGecko, the total NFT market cap has rebounded above $6 billion, currently standing at $6.417 billion—a 23.2% surge in 24 hours. Trading volume growth is even more dramatic, with $40 million traded in the past day, marking a 318.3% increase.
Notable performers include CryptoPunks, Moonbirds, and Pudgy Penguins:
CryptoPunks: A whale spent millions scooping up 45 Punks (plus Chromie Squiggles), with 76 trades in just 5 hours—the largest buying spree since 2021. Floor price: 47.5 ETH (+15.9%).
Moonbirds: OpenSea briefly changed its X profile picture to a Moonbirds NFT, sparking hype. Floor price: 1.94 ETH (+33.3%).
Pudgy Penguins: Featured in Season 2 of the TV show Poker Face, drawing mainstream attention. Floor price: 16.4 ETH (+13.8%).
Other projects like BAYC (+13.2%), Azuki (+26.8%), and Bitcoin-based Taproot Wizards (+30.3%) also rallied. Even NFT-related tokens joined the party, with BLUR skyrocketing 27.4% to $0.1176 (ranked #3 on OKX’s gainers list).
While NFT hype cycles have repeatedly fizzled out since the 2021 peak, leaving retail traders numb to "buy the dip" calls, recent developments hint at a potential shift:
On July 16, BitMEX co-founder Arthur Hayes tweeted: "ETH Season is here—DeFi and NFTs will resurge." Though initially met with jokes, the market now seems to agree.
FreeLunchCapital (founder of BitmapPunks) revealed institutions have been quietly accumulating NFTs via OTC deals: "If they can bring eyeballs and growth to the space, I’d consider selling."
Veteran NFT traders like 0xCygaar are declaring: "NFT Season is back."
Two key drivers explain the rebound:
ETH’s Momentum: As Ethereum’s price surges, capital flows into correlated assets. With most top NFTs native to Ethereum, they’ve become a proxy for ETH exposure. Trading volume confirms this—liquidity is concentrated in Ethereum’s blue-chip projects.
Market Reset: After a prolonged downturn, "weak hands" have exited, leaving strategic buyers to accumulate undervalued assets. NFTs’ illiquidity (vs. tokens) makes them easier targets for coordinated pumps.
Despite the euphoria, challenges remain:
Shattered Consensus: Years of decline have eroded trust in NFTs. Retail FOMO may not return overnight.
Institutional Role: While whales and funds are buying, their ability to onboard mainstream users is unproven.
Is this the start of a new NFT bull run—or just another fleeting pump? The market’s next moves will tell.
Data as of 2025/07/21. ETH price: $3,573 (used for conversions).